In the mining state of Western Australia, which is struggling to cope with the end of an investment boom, more than 10 per cent of mortgage holders have little or no equity buffer, according to a Roy Morgan report last week. In South Australia and Queensland, 8 per cent and 7.2 per cent of borrowers respectively are in negative equity.

That may not matter if you're a homeowner with a secure job and comfortably servicing your mortgage. But Australia's labor market is far from solid, with the RBA citing it as one of the economy's biggest uncertainties. The jobless rate rose for the second straight month in December to 5.8 per cent, while underemployment -- the number of workers wanting more hours -- is near an all-time high. At the same time, wages growth is the lowest on record.

1. Wow, that is a lot of people under water.

2. I hit hiring freezes in November, December and January respectively - all jobs which were essentially in the bag. Fortunately I picked something up at the end of January (which was the first of the hiring freezes).